1 day agoCorporation Saving Tax on Build-in GainsInternal Revenue Service says that taxpayers- transferees of a company that was stripped of its assets and left unable to pay its Federal tax liabilities are responsible for the transferor company’s tax liabilities. (Slone IV, 896 F.3d at 1088). Shareholders of closely held C corporations with significant built-in gains and…3 min read3 min read
1 day agoTuition Deduction C-CorpT.C. Memo. 2022–19 Docket Nos. 4113–19, 4647–19. Filed March 9, 2022 The taxpayer claimed a business expense deduction for the C-Corp owners’ son-in-law (not an employee) for the costs of a coding course at a University. The son-in-law had no previous coding experience. A taxpayer is not entitled to deduct…2 min read2 min read
1 day agoSale of Partnership InterestSale of Partnership Interest Sale of Partnership A partner sells some interest in the partnership. Entity theory Section 741. Business is treated as a separate business, and gain or loss on the sale is treated as a capital loss. - Exchange - Gift - Death - Abandonment Computation of gain…Partnership3 min readPartnership3 min read
1 day agoTax SeasonTax time can be a stressful, overwhelming experience. It’s easy to forget important information and get confused by the paperwork. But with a few simple tips and tricks, you can make tax time easier and more stress-free. …4 min read4 min read
Feb 4, 2022What Affects OIC?On February 23rd, the U.S. Tax Court filed T.C. Memo. 2022–5 deciding whether the Office of Appeals abused its discretion in rejecting an offer-in-compromise (OIC) . The United States Tax Court found no abuse of discretion and granted summary judgment in favor of the IRS. Why? The petitioner submitted form 12153…Taxes2 min readTaxes2 min read
Jan 24, 2022Recent Tax Related ChargesJanuary 24, 2022Owner of a network of health care and rehabilitation facilities willfully failed to withhold and pay over employment taxes on behalf of his employees.Charged with tax evasion, and failing to file benefit plan reports.January 24, 2022a North Carolina man did not file any federal income tax returns, allegedly…3 min read3 min read
Jan 22, 2022Innocent Spouse ReliefThe IRS has the authority to collect from both spouses, regardless of who earned money and whether or not a joint tax return is filed. Section 6013 of the Code of Civil Procedure (d). https://www.irs.gov/businesses/small-businesses-self-employed/innocent-spouse-relief Innocent spose criteria: “ there is an understatement of tax attributable to erroneous items of one…5 min read5 min read
Jan 18, 2022Charitable Contribution Deductions for a Conservation Easement.Docket №7288–19. Filed January 13, 2022. This case reviews whether the supervisor lacked the authority to supply timely approval of penalties. A partnership acquired roughly 260 acres of land in Alabama. Later, the partnership granted to the National Wild Turkey Federation Research Foundation a conservation easement over the land. Then…2 min read2 min read
